Show 50 - Investing Your Way to Retirement
In this episode, I talk about the importance of investing for your retirement and the approaches most teachers should take (and not take) to investing.
9/11/20241 min read
Investing for your future is vital to your retirement success. You cannot save your way to a comfortable retirement. So this season I’m going to talk all about investing. Different facets of investing, my investing journey, and pitfalls you need to look out for when you invest your money. In this episode I introduce the 3 basics forms of investing most teachers should use most of the time (naturally your situations varies!).
Key Ideas
The first thing to remember when investing is this: If you don’t understand it, don’t invest in it!
Make sure you are okay with the risk involved in a certain investment. Generally speaking the least risky investment with the highest return on investment for the average investor will be a low fee index fund.
Bonds are NOT an investment. Bonds are an inflation fighting savings tools. The role they play in investing is reducing risk, usually closer to retirement. You can keep some money in bonds, but that is not usually the best options for you if you are more than 5 years out from retirement.
Stocks grow with appreciation and pay out dividends. They are a simple way to invest your money for retirement, but they are volatile. Stocks should only be used long term for retirement investing.
Real estate is a better wealth generation tools than stocks, BUT it does require more time and knowledge to get started. You also need an emergency fund for your real estate. Using real estate in your portfolio is recommended if you want to put in the effort.
Show Notes
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Another Episode on Investing with Andrew Sather